How MyMood AI reduced Apple refunds by 50% with RevenueCat’s Refund Handling

MyMood AI makes it easy to transform selfies into photorealistic avatars. Acting as an AI photo generator, enhancer, and editor, it gives users the tools to create professional-grade images in just a few taps—no technical skills required. Thousands of people use MyMood AI every day to elevate their photos and bring their creativity to life.

The Challenge

When customers ask for a refund, Apple sends a request to the app developer for ‘consumption’ data, like what was purchased and the duration of use, to decide whether or not a refund should be issued.   Apple requires developers to respond to these notifications within 12 hours, failing to respond to these requests promptly means that Apple automatically grants the requested refund no matter how unreasonable.

For teams like MyMood AI, this process leads to unnecessary revenue losses. Collecting the consumption data manually and sending it to Apple in the 12-hour window creates an operational burden and causes many developers not to take action, causing revenue to slip away.

With no automation in place, David Dixon, a developer, and his team at MyMood AI faced this same struggle.

The Solution

Based on feedback from developers like David, RevenueCat introduced Refund Handling, a feature that automatically responds to Apple’s consumption requests by instantly sending Apple all the relevant customer information. Developers can also set their refund preferences such as ‘always accept,’ ‘always decline,’ or ‘let Apple decide,’ removing the need for manual intervention.

Setting up Refund Handling was simple and can be enabled on RevenueCat’s Dashboard in seconds—without writing a single line of code. Before they turned on Refund Handling, MyMood AI had lost considerable revenue to refunds.

“iOS did about $15,000 in refunds from Apple in the last 30 days. So, let’s see how it’ll change once we implement RevenueCat’s Refund Handling,” said David, setting up a reminder to check back the refunds in two weeks.

The Results

The MyMood team was delighted when they saw their Refund Rate Chart in theRevenueCat dashboard. After enabling Refund Handling, MyMood AI reduced its refund rate significantly in just two weeks. The automation allowed the team to eliminate the manual work involved in handling refund requests and prevent revenue leaks caused by unjustified refunds.

“After I set up RevenueCat’s Refund Handling, our refund rate was down about 50%. That’s $9K saved without lifting a finger,” said David.